Farmers from Ohio, Nebraska, Illinois and Iowa have a better understanding of competitors from Argentina after participating in a mission during the first week of February. The mission focused on production practices, farm policy and infrastructure comparisons.
Here are some key takeaways:
Trade has become much more feasible since a new Government system has been established. The only commodity that currently has an export tax is soybeans.
Transportation is a major limiting factor for agriculture in Argentina. Many roads are still made of dirt and farmers are not always able to move grain or livestock during wet weather. Also, ships can only fill to 70% capacity because the main river used for transportation isn’t very deep. Ships must sail to another country to finish loading.
Farmers all over the world have similar problems as farmers in the United States. The farmers in Argentina are struggling with policy that determines their ability to produce a crop.